Bay State Apartment Owner 3Q 2014

THIRD QUARTER 2014

2014 | OCTOBER 22 RENTAL HOUSING ASSOCIATION

EXPO multifamily Conference

HYNES CONVENTION CENTER, BOSTON

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COVER THIRD QUARTER 2014

2014 RHA Multifamily Conference and Expo

2014 | OCTOBER 22 RENTAL HOUSING ASSOCIATION

EXPO

The Power of Teamwork

10

The Coolest, Awesomest, Most Life-Changing Decision You’ll Ever Make!

12

The Power of WOW in Customer Experience

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multifamily Conference

HYNES CONVENTION CENTER, BOSTON

RHA MULTIFAMILY CONFERENCE & EXPO | 09.27.13 | HYNES CONVENTION CENTER

Bay State Apartment Owner is the official publication of the Rental Housing Association. ©2014 The Warren Group Inc. and the Rental Housing Association. All rights reserved. The Warren Group is a trademark of The Warren Group Inc. No part of this publication may be reproduced in any manner without the express written consent of the publisher.

CONTENTS

President’s Message

04

Photo Gallery

05

Executive Director’s Message

06

RHA Calendar

07

The Show Is the Thing

A division of the

Greater Boston Real Estate Board

One Center Plaza, Mezzanine Level Boston, MA 02108 Phone: 617-423-8700 Fax: 617-338-2600

RHA Officers President: President Elect: Vice-President: Secretary: Executive Director:

Joseph E. McPhee Jr. Gilbert Winn Sarah Mathewson Mark R. Epker John E. Lafferty

Published By

THE WARREN GROUP Creative / Production / Advertising www.thewarrengroup.com 280 Summer Street Boston, MA 02210 Phone: 617-428-5100 Fax: 617-428-5118 custompubs@thewarrengroup.com

Looking At Where We’ve Been, and Where We’re Going

Third Quarter 2014 • BAY STATE APARTMENT OWNER

3

President’s Message

BY JOSEPH E. MCPHEE JR.

The Show Is the Thing

A

s is obvious to you now, this issue is devoted to the 2014 Rental Housing Association’s Fall Conference and Expo.

We thank our speakers for contributing articles that “preview” their presentations. I also hope you will take some time to plan your booth visits using the center spread of the exhibitors’ logos as a guide.

While the conference is presently center stage, I wanted to bring to your attention two other upcoming events. The 2014 NAA Assembly of Delegates will take place in Boston on Nov. 13 to 15. The RHA President’s Awards reception will be held on Dec. 2 at the Boston Convention and Exhibition Center.

The Assembly of Delegates

(AOD) is NAA’s largest business meeting of the year, where all NAA and NAAEI boards, committees and task forces meet and the new incoming volunteer leadership is installed. This year, Tom Beaton, from The Dolben Company, will be installed as chairman of NAA for 2015.

Tom, a 30-plus year veteran of the industry, has been a member of NAA since 1998, and has served as a delegate from 2001 to the present. Locally, he has chaired four committees, served on the board directors and as president of the Rental Housing Association. He led the initiative to offer Maintenance Mania® locally, and is one of the primary supporters of NAAEI designation programs. Tom lead the effort for RHA to host the Business Exchange, benefitting the NAA PAC, and encouraged efforts

by RHA to increase sales of the

2014 RHA President’s Award Winners Industry Excellence Award Robert M. Kargman President, Boston Land Company

Excellence in Public Service Award The Honorable Kevin G. Honan Co-chair, Joint Committee on Housing

BayState Apartment Owner NAA Lease.

We hope you will join us for the Salsbury Industries NAA Installation Dinner on Nov. 15

Runs in: Winter/Summer

at the InterContinental Boston.

On Dec. 2, we gather at the Boston Convention and Exhibition Center on Summer Street in Boston to honor the recipients of the 2014 RHA President’s Awards.

I will have the honor of presenting the 2014 Industry Excellence Award to Robert M. Kargman, president of Boston Land Company. The Excellence in Public Service Award will be presented to The Honorable Kevin G. Honan, co-chair of the Joint Committee on Housing.

The event features a new format this year. We will start the evening with a reception at 5:30 p.m., featuring several food stations reflecting the neighborhoods of Boston.

There will be plenty of food during the reception, which will replace the traditional sit-down dinner.

The program will run from 7:15 to 7:45, with dessert and coffee prior to the evening wrapping up by 8:30. We think you will enjoy this streamlined event with additional time for recognition and networking.

We end the year will three major events: the Fall Conference and Expo in October; the National Apartment Association’s Assembly of Delegates here in Boston in November; and the RHA President’s Awards Dinner in December. I hope to see you at all three! n Joseph F. McPhee is director of operations for Boston Land Company and 2014 president of the Rental Housing Association.

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June 2, 2014 - Dedham Country & Polo Club

Third Quarter 2014 • BAY STATE APARTMENT OWNER

5

Executive Director’s Message

BY JOHN E. LAFFERTY

Looking At Where We’ve Been, and Where We’re Going

T

ime for reflection and projection.

The RHA Fall Conference, which will take place on Oct. 22 at the Hynes Convention Center, offers a unique opportunity to both reflect upon where we have been and to project where we want to go. The “show” started out in 2000 at a Boston hotel, with two dozen exhibitors and about 200 attendees. Over the years, the number of exhibitors has grown over seven-fold and the attendees are in the “six hundreds.” The Hynes Convention Center has become our home after outgrowing the Boston hotels.

One of the key elements of the conference is the awards ceremony, immediately prior to the keynote.

The awards are a time when we celebrate both individual and corporate excellence with our Professional Achievement and Communities of Excellence awards. The winners reflect the realization of goals we hold as industry professionals.

The conference also offers us a way to project where we want our goals to take us. Our exhibitors, displaying the latest in goods and services, help us to find new and better ways to enhance the operations of our communities. Our speakers offer “takeaways” that will position us for continued success in the future.

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Third Quarter 2014

Mike Rayburn starts the day with a presentation titled “What If … ?”

Using his astounding guitar creations, he challenges his audiences to leap beyond their perceived limitations. Francis Chow and Joanna Ellis present “Understanding the Customer Experience.” How are our residents rating you and what does that mean to potential renters?

The keynote will be memorable.

Devon Harris’s personal triumph over adversity has been watched by millions in the hit Disney movie “Cool Runnings.” Born on Christmas Day 1964 and raised in a violent ghetto environment in Kingston, Jamaica, the greatest gift Devon Harris ever received was the belief that a positive attitude and a never-say-die philosophy would carry him farther than a sense of injustice and a heart filled with anger. A graduate of the prestigious Royal Military Academy Sandhurst in England, Devon received a Queen’s Commission in December 1985 and served in the officer corps of the Jamaica Defence Force until December 1992, when he retired as a captain. At the heart of Devon’s message are the lessons he has learned of the power of persistence over all sorts of obstacles in order to live one’s best life.

As past attendees are aware, there is more to the show. Networking opportunities abound during the morning break and midday lunch on the tradeshow floor, as well as the closing reception held immediately following the keynote address. Door prizes and a cash drawing add a level of fun, thanks to our generous exhibitors.

I look forward to seeing you at the Hynes this October. Join me as we reflect upon what has been successful in the past and as we look forward to the realization of those goals that will bring us even more success in the future. n John Lafferty is the executive director of the Rental Housing Association.

g r e a t e r

b o s t o n

r e a l

e s t a t e

b o a r d

RENTAL HOUSING ASSOCIATION 2014 EDUCATION AND EVENTS

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October 13-16 CAMT Bruins Outing 21 Red Sox Outing BreakfastLandlord Series RHA Tenant Law Spring Marketing Program Location and Date TBD NextGen Night Out NextGEN Kickoff Fair Housing

11

Breakfast Series NextGEN Career Panel Fall Golf Maintenance Mania

Spring Golf Business Exchange for NAAPAC

October 13–14 22 RHA Multi-Family Conference 5, 12, 19, 26 Certified Apartment Massachusetts Landlord NAAManager Multifamily Management Tenant Law 18-21 Asset NAA Education (CAM) Conference, Denver Conference 13-15 NAA Assembly of Delegates, 2, 9, 16, 23 CAM Boston Amelia Island 10 Breakfast Series 10 Breakfast Series 15-18 Certificate for Maintenance Technicians (CAMT)

Affiliate Signature Event

NextGen Holiday Party

October 22 RHA President's Awards RHA 2014 Conference & Expo C L I CConvention K H E R E F O RCenter, M O R E Boston I N F O R M AT I O N Hynes

22-24 National Apartment Leasing Professional (NALP)

November 12 RHA NextGen Career Panel GBREB Office, Boston November 13–15 NAA Assembly of Delegates InterContinental Boston December 2 RHA President’s Awards Dinner Boston Convention & Exposition Center February 17–19 NAA Student Housing Conference Aria Resort, Las Vegas March 14–18 NAA Capitol Conference JW Marriott, Washington, D.C. June 24–27 NAA Education Conference & Exposition Mandalay Bay, Las Vegas

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Third Quarter 2014 • BAY STATE APARTMENT OWNER

7

The Power of Teamwork

By Devon Harris

I

am surprised to find that even in today’s global village, where success is dependent on close cooperation and working interdependently, many people still have the wrong concept about teamwork and often only equate it with sports and sports teams. The truth is, we are all part of a team. We became part of one the day we were born (our family) and will continue to be part of one until the day we die.

So, what is teamwork?

According to Merriam-Webster’s Collegiate Dictionary, it is “work done by several associates with each doing a part but all subordinating personal prominence to the efficiency of the whole.” In other words, effective teamwork involves and requires the subordination of individual desires while working cohesively to achieve a common goal.

To be clear, this by no means suggests that the individual is not an important part of the equation, but rather that effective and efficient teamwork goes beyond individual accomplishments. The most effective teamwork occurs when there is a harmonizing of the contribution of everyone involved. This reflects what the French call “esprit de corps” – a sense of unity, of enthusiasm for common interests and responsibilities, as developed among a group of persons closely associated in a task, cause, enterprise, etc.

The Individual Some may argue that there are more than enough examples of individual brilliance. What about the maverick salesman, or the star athlete who dominates the track in her individual event? Where is the 10

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teamwork in those instances? Make no mistake about it, we are all primarily responsible for our own success. It begins with us displaying the necessary discipline, drive and determination, but know that no one truly succeeds by themselves. Both the salesman and the athlete need a team of people working in the background to support their endeavors. Whether that support staff is in the form of a customer service representative or coach, they work collaboratively with the respective individuals to help them reach the pinnacle of their success. Our lives are forged by many hearts and hands.

Notwithstanding, the individual remains the spark that ignites the power in teamwork. For a team to be productive, it needs members who are best suited for solving a specific problem. Sports coaches are highly specific when recruiting talent for their teams, while in business the criterion are often much broader. While some team members may be adaptable to what the team needs for a particular effort, in general, the functional needs of the team must be matched with people with the correct skills. Otherwise you end up with a highly dysfunctional team.

Leadership Whenever I speak of leadership, I like to point out that everyone in an organization, whether they have a title or not, is a leader, and thus shares the responsibility for the direction and effectiveness of the team. That means that the receptionist in the rental office, the superintendent who keeps the place running,

2014 | OCTOBER 22 RENTAL HOUSING ASSOCIATION

EXPO multifamily Conference

HYNES CONVENTION CENTER, BOSTON

as well as the gardener who immaculately maintains the grounds, all play important leadership roles. Having said that, those in executive positions have the direct responsibility for the organization’s growth, and of the many roles they may have, one of the most important is that of CEO – Chief Empowerment Officer.

Leadership is not about the power of one, but facilitating the greatness of many. Successful leaders embrace the power of teamwork by tapping into the innate strength each person brings to the table. Such leaders do not engage in the habit of torpedoing ideas put forward by team members just to shore up their status as the leader, but instead give of themselves selflessly, helping others to explore their full potential and reach the pinnacle of their own power. In that way, the leader creates an environment where everyone is enriched by the accumulation and the magnitude of talents.

Communication

Vision

Self-Evaluation

Commitment and hard work is not enough. High productivity, efficiency and sustainability are all good traits, but these, too, are not enough to create a strong team. Every team needs a vision – something to inspire, captivate imagination, and raise team members to new levels of personal empowerment, thus allowing the overall organization to thrive. Back in the 1980s, Microsoft had a vision of “A computer in every home running Microsoft software.” That vision became the reason for their existence. It guided and drove their success. People want to be connected to something that is bigger than them. A clear vision engages people in an organization. It drives behaviors, creativity, commitment, engagement and determination of every member of the team. It gives them a real sense of what could be possible.

Teams are living, breathing entities that are impacted by the changing environment in which they find themselves, and are, in fact, changing themselves.

The most successful teams practice self-evaluation.

They consistently look at ways to improve processes and practices. They are continuously seeking ways to adapt and adopt new technologies as well as openly and honestly discuss team norms and what may be hindering its ability to move forward and progress in areas of effort, talent, and strategy. This process helps them to drive and direct change instead of becoming a victim of it n

Communication is key component of any successful relationship, including the diverse and often complex relationships which exist on teams. Communicating effectively does not simply mean conveying information – the message has to be conveyed with shared meaning.

For example, while you will typically find a number of issues arising out of rental agreements, the source of conflict in the interpersonal relationships between landlords and residents is mostly the result of or is exacerbated by poor communication.

Communicating effectively with a resident will help the landlord shed the image of simply being a mere rent collector and be seen as a partner. Regardless of the nature of the relationship, clear, effective communication helps build trust and allows all parties to feel respected and that their point of view is being heard.

Keep On Pushing! Devon Harris will present the keynote address “The Power and Magic of Teamwork” at the 2014 Rental Housing Association EXPO multifamily conference.

Third Quarter 2014 • BAY STATE APARTMENT OWNER

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2014 | OCTOBER 22 RENTAL HOUSING ASSOCIATION

EXPO multifamily Conference

HYNES CONVENTION CENTER, BOSTON

The Coolest, Awesomest, Most Life-Changing Decision You’ll Ever Make!

By Joanna Ellis

R

eally? One decision, one simple decision, will be THE most life changing decision you’ll ever make?

Yes. This one decision will positively affect everything in your life, forever, to the degree to which you embrace it. It will revolutionize your work, your relationships, your income, even your spiritual life. It will change a dull life to one of action and impact. It will cause people to appreciate and depend on you at work, and your employer to take notice. It will cause your family to wonder about you at first, and then, quite often, to follow suit. Your health, energy and sleep will all very likely improve. You will become an example to those around you. It is the decision that everyone who is truly successful has made, and the very thing that eludes those who complain and never seem to have enough.

This decision, simply put, will be transformational.

Are you ready? Here it is: Become a Virtuoso! Or, resolve to be the BEST. Choose to become excellent in every area of your life. A Virtuoso, be it Beethoven or Freddie Mercury, or LaBron James, Steve Jobs, Barishnikov or YOU – is someone who’s chosen to dedicate his or her life to the quest for mastery.

Someone who makes the choice for excellence so often that it’s no longer a choice, it’s just who they are. Virtuoso, excellence, or being the best, for my purposes all mean the same thing and I will use them interchangeably.

You’re Not Born That Way So, what do I mean by Virtuoso? Excellence? By is definition, it means “the quality of being outstanding or extraordinary.” It means taking the high road, deciding that from this point forward, everything you do in life you do right and to the fullest! You no longer allow shortcuts or taking the easy route just because it’s easier. You decide what is best in every area of your life and set yourself on a path to achieve it. You raise the bar on what you will allow for yourself, regardless of what others do or allow for themselves.

In my humble opinion, because I consider one’s faith as integral to becoming a Virtuoso, this is the most important decision you will ever make. Making 12

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this decision is the first and most important step to rising to the top 1 percent of your field. And I call it a decision because no one is born a Virtuoso; no one becomes one by accident. And to be clear, this is not about success or failure. The opposite of “Virtuoso” isn’t failure. It’s competence. There are many competent people. There are precious few Virtuosos.

With the limited time we have, let’s get you started and on the path.

You Can Be Right, Or You Can Be Free A life of excellence begins with taking responsibility.

Right now, declare that from this day forward everything in your life is your responsibility, meaning your present, your future and even your past. All of us have had bad things happen, some horrific and completely out of our control. We can’t choose the family or circumstance to which we’re born. Yes, that is totally unfair. Regardless, whatever has happened, you have two choices: Blame someone else or take responsibility. Justified or not, blame will ultimately take you down. The only path to success is to forgive completely and take full responsibility for your life and everything in it. You can be right, or you can be free. Victims are right; but they are not free. This is the path to joy and an awesome life.

So, let’s make two decisions together right now.

Repeat this aloud with me. (I, personally, make it a prayer): “I (your name), from this day forward will become a Virtuoso. I will strive for the optimum, as best I understand it, in every area of my life. I also take full responsibility for my life – past, present and future – and accept that everything, including my success or failure, is completely up to me.”

CONGRATULATIONS! You’ve just risen to the top 10 percent of people in this world. Most people NEVER make this choice. Most people coast through life, doing the minimum, accepting the status quo, and living what’s been called a life “of quiet desperation.” The problem with coasting is it only happens down hill. But this is not you. You aspire to more, and I LOVE that!

Now let’s look forward at what this means.

Your Awesome New Life Your work is no longer “putting in time.” You exceed expectations in everything. You do whatever it takes to become amazing, to be the best at what you do. You seek feedback and improvement through modeling and learning from those you respect. You have a passion for learning. And, given that time is life, you manage your time well.

You no longer take your finances for granted. You set long-term goals; you are frugal; you seek professional financial council; and you operate from a plan.

Your health: Improving your diet, exercise and emotional/mental health is no longer optional or occasional. You have decided to change bad habits, adopt better habits one at a time, and do whatever it takes to get and stay healthy.

Your relationships are now intentional. You strive to become the best spouse, parent, friend and coworker you can be. You become the one people rely on, while at the same time allowing yourself to rely on others you trust.

Finally, and in every way, you become a servant. All excellent human beings are servants of others. It is a divine paradox that when you put others first and serve them, your needs get met in the process, in ways you could never expect.

Richard Bach once wrote, “Here’s a test to see if your purpose in life is over: If you’re alive, it isn’t.” That means there is most definitely a profound, divine and

wonderful reason that you are where you are right now, reading this article. This world needs excellence – your excellence. What you’ll find is that excellence is not had by comparison because of the extraordinary lack of it in this world. Bless yourself and everyone around you with the choice of a lifetime: Choose excellence. Become a Virtuoso! n Mike Rayburn is a motivational speaker, thought leader and comedian. He will be the keynote speaker at the 2014 Rental Housing Association EXPO multifamily conference.

Hundreds of housing developments across the Commonwealth join each year.

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2014 | OCTOBER 22 RENTAL HOUSING ASSOCIATION

EXPO multifamily Conference

HYNES CONVENTION CENTER, BOSTON

The Power of WOW in Customer Experience

By Joanna Ellis

C

ompetition is tough! So how do you stand out among the crowd? Providing “WOW!” service is one way to set yourself apart.

Customers have long been exposed to mediocre service and decreasing quality of products. But over recent years, they’ve rallied to the spirit of the ’80s Twisted Sister hit and cried, “We’re not gonna take it anymore!”

Loyalty and customer service indexes tell the story of who the top performers are, who customers tend to buy from and why – it’s because they feel valued as customers and are consistently provided with a great customer experience. Is the customer experience more powerful today for the consumer than it has been in the recent past? Absolutely.

When the economy took a downturn, consumer spending hit an all-time low and as a result of the sacrifices we made to get by, we also sacrificed our expectations in service – we became willing to spend our money without feeling truly appreciated as a customer because we were spending less overall. We stood in corrals, waited extended periods of time for assistance, dialed our way slowly and often miserably through an automated customer service line, only to have to hold eight minutes for a live person, and gladly took what we got, which was an “in-and-out” experience, often without a smile.

But as a society, we’re done with that! We’ve learned that if we are patient and persistent, we can find what we want and make a purchase that not only drives our own happiness, but also conduct business with someone who “cares” about us.

In “Beyond Being Satisfied,” Rick Sidorowicz sums it up nicely. The outcome of customer service is to create for your customers “a very positive and very memorable experience. It’s the Wow! Factor.” The more customers who take away this powerful, emotional response to their interaction with you, the greater the likelihood they will sing your praises to others and result in more traffic and increased sales.

Wowing your customer doesn’t have to break the bank, either. It’s the little things that matter most sometimes! And you have to start somewhere. Many organizations who strive to provide the ultimate experience to their customers have started with the NPS (Net Promoter Score) system. Take Chick-fil-A, where a customer was wowed when a worker asked his three-year-old to “help” him mop and then took

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him on a spin on the mop around the store. “We strive to deliver something for which there is unlimited demand – being treated with honor and respect,” said Chick-fil-A CEO Dan Cathy.

Noted author and expert in the field of loyalty management, Fred Reichheld, mirrors this sentiment: “We all want to be treated with honor and respect in ways, large and small, that enrich our lives. Such experiences not only make us happy; we want to share them with people we care about.”

Reichheld goes on to point out that this is the basis for recommendations of your business. We don’t send people we care about your way unless we’re utterly enchanted with you ourselves. The fact that we put our own reputation on the line speaks highly of the brand we’re recommending. By the same token, treat us poorly and everyone we come in contact with will know it – and that packs as big a punch in the wrong direction!

One thing is certain, it is the emotional aspect tied to your customer’s experience with you that makes the biggest impact. Customers are driven to buy and especially to remain loyal customers and promoters of your business by emotion over reason. John Fleming and Jim Asplund, in “Human Sigma” (Gallup Press), report that a rationally satisfied customer – although classifying themselves as extremely satisfied – lacks the strong emotional attachment and loyalty of an emotionally satisfied customer. Emotionally satisfied customers spend more, buy more often and remain customers longer.

One of the most intriguing findings of Fleming/ Asplund’s research was that rationally satisfied customers demonstrate behaviors identical to those of dissatisfied customers. So, emotion is KEY! And “WOWING” your customer provides an overwhelmingly positive, emotional experience every time. n Joanna Ellis is the CEO of Ellis, Partners in Management Solutions – a respected multifamily industry provider for three decades, offering apartment mystery shopping and resident surveys as part of an integrated customer experience program. She is also co-owner of Renter’s Voice, an apartment reviews and ratings website designed specifically with the multifamily owner/manager in mind. She may be reached at (972) 2563767. Read more at www.epmsonline.com.

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